Identity Theft: 6 Ways Someone Can Exploit Your SSN - Surfshark

Because an SSN is unique to every individual, it is a very useful identification tool. But since it’s difficult to use on its own, criminals get quite crafty when it comes to using your Social Security number for fraudulent purposes. 

In essence, all types of SSN-related identity thefts use the number plus your additional information to bypass identification procedures in social and financial institutions. So, to people wondering what someone can do with their SSN, the following is just scratching the surface.

1. Financial identity theft

An identity thief can use your SSN together with your PII to open new bank accounts or access existing ones, take out credit cards, and apply for loans all in your name. Often, you wouldn’t even know it was happening until you’d start receiving calls or emails from unknown creditors or get turned down when applying for a mortgage.

Financial identity theft is the most common type of fraud that uses SSNs. It affects around 5% of Americans annually, resulting in losses topping $1.1B over the last decade.

2. Social Security benefits fraud

This type of fraud aims at using an SSN to steal someone’s Social Security benefits or file for unemployment in their name. Just like with financial identity theft, you may not know someone else is profiting from you until you apply for social benefits yourself and get denied.

For example, the COVID-19 stimulus fraud, when identity thieves steal others’ stimulus payments, falls under the category of social benefits fraud.

3. Tax identity theft

Tax identity theft is a lot like Social Security benefits fraud. The only difference is that the identity thief uses your SSN and PII to file tax refunds instead of benefits in your name.

Tax identity theft is also known as Stolen Identity Refund Fraud (SIRF)., While not as common as financial identity theft, it still costs people millions of dollars every year.

4. Medical identity theft

Using your SSN and personal information, an identity thief could avoid paying for medical care or emergencies themselves. This can have negative effects on your insurance. If you become a victim of medical identity theft, you may begin receiving unfamiliar bills and notices and be denied medical coverage.

5. Criminal identity theft

Criminal identity theft is when someone uses your SSN and PII to avoid criminal responsibility. This can allow the identity thief to get away scot-free from a speeding ticket or, in some cases, even arrest. Instead, this criminal’s responsibility will fall on your shoulders, which can cause problems later in life when seeking employment or dealing with other legal issues.